Latest news with #3G
Fashion Network
2 days ago
- Business
- Fashion Network
Skechers shareholder sues footwear maker for details on $9.4 billion 3G buyout
The complaint cited a Reuters article in which Needham analyst Tom Nikic called the buyout "very surprising" because Skechers was considered a family business. Sources said the Greenbergs eschewed an auction because of their long ties to 3G. Known for comfort-first sneakers, Skechers is the world's third-largest footwear maker. Skechers spokeswoman Jennifer Clay declined to comment on Friday, saying the Manhattan Beach, California-based company does not discuss pending litigation. The vast majority of large U.S. corporate mergers are challenged in court. Lawsuits seeking greater disclosures often end with defendants paying legal fees to plaintiffs' lawyers, and plaintiffs recovering nominal payouts or nothing. According to a regulatory filing, Greenberg, 85, could collect more than $1 billion from the buyout, which is scheduled to close in the third quarter. The buyout values Skechers at $63 per share in cash, 20% below its 52-week high of $78.82 set on January 30. Like other footwear makers including Nike, Skechers faces pressure from U.S. President Donald Trump 's tariffs. Many Skechers products come from China, and the company withdrew its full-year financial guidance in April. Brazil-based 3G is known for stringent cost-cutting, including at such companies as Anheuser-Busch InBev and Kraft Heinz. The case is Key West Police Officers & Firefighters Retirement Plan v. Skechers USA Inc. et al, U.S. District Court, Central District of California, No. 25-04863.
Fashion Network
2 days ago
- Business
- Fashion Network
Skechers shareholder sues footwear maker for details on $9.4 billion 3G buyout
A Skechers USA shareholder has sued the footwear maker for more details about its $9.4 billion buyout by private equity firm 3G Capital, saying the decision by Skechers' founder and controlling shareholder to sell raises "red flags." According to a complaint filed on Thursday in Los Angeles federal court, founder Robert Greenberg and his family, who hold about 60% of Skechers' voting power, appear to have "controlled the sales process to a single bidder and deprived the minority stockholders of any legitimate bidding process." Florida-based Key West Police Officers & Firefighters Retirement Plan said the buyout should not close until Skechers makes required disclosures with the U.S. Securities and Exchange Commission to help shareholders decide if the terms are fair. The complaint cited a Reuters article in which Needham analyst Tom Nikic called the buyout "very surprising" because Skechers was considered a family business. Sources said the Greenbergs eschewed an auction because of their long ties to 3G. Known for comfort-first sneakers, Skechers is the world's third-largest footwear maker. Skechers spokeswoman Jennifer Clay declined to comment on Friday, saying the Manhattan Beach, California-based company does not discuss pending litigation. The vast majority of large U.S. corporate mergers are challenged in court. Lawsuits seeking greater disclosures often end with defendants paying legal fees to plaintiffs' lawyers, and plaintiffs recovering nominal payouts or nothing. According to a regulatory filing, Greenberg, 85, could collect more than $1 billion from the buyout, which is scheduled to close in the third quarter. The buyout values Skechers at $63 per share in cash, 20% below its 52-week high of $78.82 set on January 30. Like other footwear makers including Nike, Skechers faces pressure from U.S. President Donald Trump 's tariffs. Many Skechers products come from China, and the company withdrew its full-year financial guidance in April. Brazil-based 3G is known for stringent cost-cutting, including at such companies as Anheuser-Busch InBev and Kraft Heinz.
Yahoo
3 days ago
- Business
- Yahoo
Virgin Media O2 issues warning as switch off could leave customers without internet
Virgin Media O2 has warned customers they may "experience a drop in call quality" or be left unable to use mobile data as its 3G switch off continues across the UK. The UK's major mobile providers, including EE and Vodafone, have gradually been axing all 3G services over the past few years. Virgin Media O2 is the latest provider to switch off its 3G network so it can focus on the "faster, more reliable and more energy-efficient" 4G and 5G networks. It's 3G network switch off began on April 2, with the city of Durham the first area affected. 📡 Virgin Media O2 begins its 3G switch-off this April in Durham, marking a key milestone in our network evolution. This move allows us to focus on faster, more reliable #4G and #5G services, delivering better connectivity for our customers. 🌐📱 Learn more here:… — Virgin Media O2 News (@VMO2News) January 13, 2025 The switch-off is also set to impact other mobile providers which use Virgin Media O2's network, including: Giffgaff Sky Mobile Tesco Mobile With the Virgin Media O2 switch off now underway, customers with 3G devices are being urged to upgrade or risk a drop in call quality and being left unable to access mobile data. In an email, seen by The Mirror, Virgin Media O2 said: "We recently got in touch to let you know we'll be turning off our 3G services. "This change has already started, and we'll be continuing the switch off across the country throughout 2025. "You may currently have a device that's not fully compatible with the UK's 4G or 5G network. "After the switch off, you could experience a drop in call quality and be unable to access mobile data, including the internet and messaging apps like WhatsApp." The next areas set to be impacted by Virgin Media O2's 3G switch off are: Norwich (July 16) Telford (July 16) Guildford (July 16) Torquay (August 4) 📡 We're continuing our 3G switch-off programme. Next up: Norwich, Telford, Guildford & Torquay. This move frees up spectrum for faster, more reliable #4G & #5G – keeping our customers better connected. 📱 Read more: — Virgin Media O2 News (@VMO2News) April 22, 2025 Virgin Media O2's Chief Technology Officer, Jeanie York, said: 'We're switching off our 3G network to focus our attention and investment on upgrading faster and more reliable 4G and 5G networks that will give our customers a better overall experience. 'While we know that the vast majority of our customers already have a 4G or 5G device and will not have to take any action, our priority is to provide support to those who need it. "That is why we are reaching out directly to customers who do not have a 4G or 5G handset, and calling those we know are vulnerable, to provide information about their next steps. "It is important these customers upgrade their handsets in order to continue using mobile data after 3G is switched off.' Any customers who don't upgrade to a 4G or 5G device before 3G is switched off in their area will still be able to make voice calls and send text messages, but will be unable to use mobile data. Customers with 3G devices will be unable to use the internet once the network is switched off. (Image: Yui Mok/PA Wire) Martin Lewis' Money Saving Expert (MSE) explains: "If you have a phone or Sim that only supports 3G, you'll effectively no longer be able to use the internet once it's fully switched off by your provider – you'll still technically be able to connect to the internet, but you'll struggle to do even basic tasks. "You'll still be able to make calls and send text messages over 2G, though the quality of the call will likely be a lot worse than it was on the 3G network." The 3G switch-off will only impact those customers with older devices and sim cards, ones that are unable to connect to the newer 4G or 5G networks. If you are unsure whether or not your device will lose mobile data access when Virgin Media O2's 3G network is switched off, don't worry; there is a way to check. Visit the Virgin Media O2 website and look at its list of devices that are not compatible with 4G and WiFi Calling. If your phone/sim is on that list, you will be impacted by the switch-off and will need to change devices before it happens. Devices on the list include: Apple iPhone iPhone 1 Generation iPhone 3G iPhone 3GS iPhone 4 iPhone 5S Samsung Samsung ZV60 Samsung Binou Samsung GT-C3592 Samsung BEAT S Samsung Galaxy Fame Samsung SLIDER Samsung Galaxy Ace 3 Sony Sony Ericsson WT13I Sony Ericsson W705 Sony Xperia Z2 Sony Xperia E LG LG Calisto LG Pop LG Prada LG New Chocolate LG G1600 Google Google Galaxy Nexus Google Nexus ONE Motorola Motorola MOTO E Motorola EM30 Motorola Motokey Social Motorola C118V RECOMMENDED READING: O2 offering more than £1000 for old mobiles and other devices - how to claim Nearly 9 million PlayStation owners could be owed more than £500 - are you one? Virgin Media customers told to check if they're entitled to a free upgrade Nokia Nokia 220 Nokia 106.1 Nokia Lumia 925 Nokia 2330 Classic For the full list of devices affected or any further information about Virgin Media O2's 3G network switch off, visit its website (a link to which can be found above).
Motor Trend
3 days ago
- Automotive
- Motor Trend
Wait, Automakers Can Shut Off Connected Car Features At Any Time? Yes—and They Are
Whether its an app on your phone digitally linking you to your vehicle at all times or a button on the overhead console capable of reaching first responders or concierges, connected services are ubiquitous in new cars. Every major automaker offers roadside assistance, emergency response, an app, and more, much of it standard equipment that includes a free trial to get you hooked. What happens, though, when you car is a few years old? How long will those often subscription-based connected services continue to work or be supported by automakers? It may not be as long as you think. 0:00 / 0:00 What's A Connected Service? Connected services is a catch-all term for everything your car can send and receive over the internet. It includes features such as automatic 911 call-outs after an accident, roadside assistance after a breakdown, over-the-air (OTA) software updates, vehicle health reports which can be sent to your dealer, wi-fi hot spots in the vehicle, and phone apps that allow you to connect to and even control some of your car's functions. They're also big business. Most connected services require a paid subscription once the free trail (usually three months to a year) runs out. As more and more of them are added to your dashboard, automakers hope to make billions of dollars annually just on subscriptions. That doesn't mean older vehicles will be supported forever, though. The 3G Sunset This has already begun to affect older cars with 3G modems handling their data connections. Back in 2022, the last 3G networks in the U.S. were shut down as telecoms moved to 4G, LTE, and 5G. This was, of course, out of the automakers' control, but it meant older vehicles were cut off from connected services as their cars could no longer connect to the cellular data network. Newer vehicles with 4G, LTE, and 5G modems weren't affected, though it's only a matter of time before the 4G network is similarly retired. Some automakers offered to replace 3G modems with 4G modems, but were not required to do so. Acura Cuts Off Access Technological obsolescence isn't the only thing owners of older models have to worry about, either. Automakers can decide at any time not to support older hardware and software, as Acura has just announced. In a notice posted to its MyGarage portal on May 29, Acura informed owners of multiple models built in the last 12 years their access to AcuraLink connected services will be cut off on July 21, 2025. The notice covers vehicles going back to the 2014 model year which were built with 3G modems and already cut off, but also vehicles as new as the 2022 model year which feature 4G and newer modems and can still connect to the cellular data network. The notice covers: 2014–2020 Acura RLX 2014–2020 Acura MDX 2015–2020 Acura TLX 2016–2018 Acura RDX 2016–2022 Acura ILX 2017–2022 Acura NSX This means customers who bought a brand-new 2022 Acura NSX Type S for $171,495 are now being cut off from connected services right alongside someone who owns a 2014 MDX SUV. A customer who buys a certified pre-owned 2019 TLX listed on Acura's CPO website today will see their services cut off in less than two months' time. This means everything from roadside assistance to recall notices (these would, of course, still be physically mailed to customers) to scheduling a dealer appointment, automatically calling 911 after a crash, help locating a stolen car, sending a destination to the navigation system, and even just locking and unlocking the doors from the app will stop working. Acura says in the notice prorated refunds will be issued to affected subscribers. There is no mention of upgrading older modems to modern hardware. There is also no reason given for the decision to cut off owners of relatively new cars. We reached out to Acura asking for an explanation and received this response: "As of July 21, 2025, AcuraLink services for certain Acura models will become inactive. This includes the ability of these vehicles to connect to the AcuraLink mobile app. While only a limited number of customers currently in a paid subscription are affected by this change, we apologize for the inconvenience and will provide them a pro-rated refund for any unused portion of their subscription." How Can They Do That? While it's arguably bad customer service, there's no law or contractual obligation requiring automakers like Acura to continue supporting older models with outdated hardware and software. In fact, it's quite the opposite. Scroll far enough down the AcuraLink terms and conditions and you'll find this entry: 'We reserve the right to terminate these Terms or to cease to offer AcuraLink or any of the Connected Vehicle Services at any time on written notice to you, including by email or posting on the MyGarage website, for any reason or no reason.' Yep, the mile-long terms and conditions you clicked 'agree' on (maybe without reading) when you signed up for AcuraLink allows the company to turn off the service at any time for any reason. Acura isn't alone in this kind of legalese. We checked the terms and conditions for connected services offered by other major brands like GM OnStar, Hyundai Blue Link, NissanConnect, and Toyota Connect and all of them have similar provisions allowing the automakers to cut you off at any time, for any reason including none at all. We've reached out to all them as well as Acura to ask how long they'll support connected services on older vehicles. We'll update this story if we get any responses. It Doesn't Have to Be This Way While they can't control what telecoms do, there's little stopping automakers from supporting older models with software and hardware updates. Tesla, a pioneer in the vehicle app space, still supports the original 2012 Model S with software updates and certain hardware updates 13 years later. How long the company will continue to do so is anyone's guess, but it demonstrates automakers can design their vehicles to accept updated modems, onboard computers, and software if they want to. It's not just the disruptors, either. Audi, back in 2020, promised its infotainment computers would be designed to be replaced with newer units to extend the usable life of its cars, though it doesn't talk about that anymore. Will Cars Ever Be Backwards Compatible? Anyone who's ever touched a device with a computer chip in it knows that device will eventually be obsolete. Cellphones, even if they still work fine, will eventually stop receiving software updates. Right or wrong, this is the way of the world. The average American, though, keeps their car for much longer than they keep their phone, and the average age of a vehicle in America is nearly 13 years old. Meaning, a lot of people could potentially be affected if other automakers follow Acura's lead in cutting off cars newer than the average. And that's not to mention those who own used examples of older models. Whether automakers continue to support their old models and whether they choose to design new models with backwards compatibility in mind is an open question. This is, after all, the industry that came up with the idea of 'planned obsolescence' to sell more cars. Concerted pushback from angry customers is likely the only thing that'll stop an automaker from cutting off connected services, at least until the cell network moves on again.
Yahoo
5 days ago
- Business
- Yahoo
Skechers downgraded as window for another bidder to emerge has closed
-- TD Cowen downgraded Skechers to Hold in a note Wednesday, highlighting a closed window for competing acquisition offers following 3G's announced deal. 'We are downgrading to Hold as the window for another bidder for Skechers to emerge has closed,' the analysts wrote. The $63 per share buyout offer from 3G Capital equates to 13.5 times TD Cowen's fiscal year 2027 earnings-per-share estimate and 6 times FY27 estimated EV/EBITDA—figures that align with the firm's prior price target but fall short of its bullish case. 'Sector valuation is +24% from April lows and now in line with 10 and 5 yr median P/E, awaiting more trade deals,' the analysts noted. TD Cowen called this the 'largest deal in Softlines Retail sector history,' well above the $2.5 billion Reebok acquisition, and framed it as 'opportunistic investing in the sector during a time of uncertainty.' The deal is said to include a unique structure: shareholders may receive either $63 in cash, or $57 in cash plus one LLC unit, with proration. 'Insiders owned roughly 14% of the shares pre-deal,' TD Cowen said, and stand to collect over $1.3 billion in proceeds. They add that management could maintain a 'sizable ownership position' depending on shareholder elections. Looking ahead, TD Cowen sees 3G pursuing margin expansion via cost-cutting and efficiencies, potentially leading to Skechers going public again. But near-term concerns remain: 'Capex as a % of sales is reaching all-time highs,' and the business model is 'heavy on distribution growth and working capital needs.' Related articles Skechers downgraded as window for another bidder to emerge has closed Tesla and xAI merger possible, predicts Musk biographer Isaacson TSX up slightly ahead of NVIDIA earnings
